The management of the Federal University Oye-Ekiti (FUOYE), Ekiti State, Nigeria has denied claims that it was involved in illegal deduction of funds from students’ loans disbursed by the Nigerian Education Loan Fund (NELFUND).

The NELFUND scheme was established in April 3, 2024, when President Bola Tinubu signed the Student Loans (Access to Higher Education) (Repeal and Re-enactment) Bill into law, to provide financial assistance to students in public tertiary institutions.

However, recall that some Nigerian universities have faced allegations of illegally deducting funds meant for students under scheme. Specifically, no fewer than 51 tertiary institutions have been accused of allegedly scamming students by making unauthorized deductions from the NELFUND loans.

FUOYE was listed among over 50 institutions accused by NELFUND and the National Orientation Agency (NOA) of making illegal deductions from students’ institutional fees—ranging from ₦3,500 to ₦30,000—after receiving government funds.

The agencies accused the institutions of deceptive practices and withholding disbursement records.
But speaking on behalf of FUOYE management at the weekend, Public Relations Officer, Mr. Foluso Ogunmodede dismissed the allegations, describing them as false and an attempt to tarnish the university’s reputation.

According to him, the university never engaged in any exploitation of students or unauthorized deductions from the disbursed loans.

Ogunmodede stated that the Central Bank of Nigeria (CBN) had not traced any illegal NELFUND payments to the university’s accounts.
According to him, every financial procedure must be properly followed before any payments or refunds would be made.

He said : “Once the payment enters our account and is reconciled with the list of beneficiaries, we will begin refunds immediately even as none of our fees structure is N124k. The allegation is false and nobody has contacted us.”